Everybody knows you can’t just walk into a Rolex store and come out with a new Rolex watch nowadays. There is always a long waitlist. The lack of supply for new Rolex in the official store helps to boost the price of pre-owned Rolex in the second-hand market.
At the moment we are talking, the price for a pre-owned Rolex Daytona Oysterflex is selling for $54850 on Hodinkee, an influential e-commerce website for new and vintage wristwatches. Earlier this month, the same model had a higher price.
The retailer price for Rolex boosts up during the pandemic because of the scarcity and delayed supply. The pandemic helps to increase Rolex prices because individuals can not travel or do other outdoor entertainments: they are more willing to do some online shopping and invest in Rolex instead.
Rolex has made itself a successful brand and here are some reasons for Rolex to succeed:
1. Their Products(watches):
- Product quality: There is a reason for Rolex to be one of the most famous luxury watches in the world, and the baseline is definitely its quality. Its extremely high product quality and stability in quality are the essential key for Rolex to succeed.
- Design and recognition: Everything a watch needs can be found in Rolex. Automatic winding, water-resistant case, and chronometer certificate, together with the date window, has all the essentials of a watch. Rolex has one of the most fine, complicated craftsmanship in favor of having the best all-around watch for daily wear.
2. Branding, Marketing, and Advertising:
- Brand reputation: Rolex is obviously one of the most recognizable watches among the world’s luxury watch brands. It has two target consumer groups: those who know a lot, and those who know very little. Even for the consumers that do not know much about watches, know that Rolex is the best.
- Marketing strategy: Besides regular marketing strategy, Rolex is collaborating with various sports and have been sponsors for competitions in tennis, golf, car race, and sailing. The consistent exposure helps to keep its reputation and fame in order to stabilize its prices.
- Stabilized prices: The moment you buy a car, it drops in value. This fact is true for a lot of watches, except for Rolex. Regardless of the reasons you buy a Rolex, you can always sell it and the price won’t be lower, especially for gold Oyster models. Sporty Rolex models on stainless steel are popular as well and their prices are also stable. The price stability of used but still relatively new watches depends in great part on the high prices achieved regularly by older Rolex watches at auction. The most expensive wristwatch ever sold at auction is a Rolex Daytoa sold for $15.5 million.